In 2005, Afghanistan experienced parliamentary elections, the disarming of official militias, a budget that aims at improving the economic and fiscal sector, continuing counter-narcotic efforts, curbing of the neo-Taliban insurgency, integration of its displaced population, strengthened diplomatic ties with the U.S., and an improved diplomatic image. Afghanistan is building key institutions in this time of transition, although it faces grave challenges because the task of achieving political and economic stability is monumental.

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